Market Commentary Sector Wise Performance Indices Last Traded % Change 14638.05 5.80 26862.95 3.32 232 2.41 3087-0.26 19.1625 0.01 14323.95 2.47 30126.25 3.02 9275.7-0.29 2915.2-0.16 9270.2 2.29 2549.85 3.32 3163.75-1.59 3397.3-0.67 NIFTY IT NIFTY BANK NIFTY REALTY NIFTY INFRA INDIA VIX NIFTY ENERGY NIFTY FMCG NIFTY PHARMA NIFTY PSU BANK NIFTY AUTO NIFTY MEDIA NIFTY METAL NIFTY COMMODITIES NIFTY CONSUMPTION 4923.05 3.11 TOP WEEKLY GAINERS TOP WEEKLY LOSERS TCS YESBANK INFY ONGC INDUSINDBANK SUNPHARMA BAJFINANCE TATAMOTORS ZEEL COALINDIA Sensex opened the week at 35118, made a high of 36389, low of 34896 and closed the week at 36194. Thus it closed the week with a gain of 1213 points. At the same time the Nifty opened the week at 10568, made a high of 10922, low of 10489 and closed the week at 10876. Thus the Nifty closed the week with a gain of 350 points. Options data for December series maximum Call open interest (OI) of 25.43 lakh contracts was seen at the 11000 strike price, followed by the 11500 strike price (with 20.68 lakh contracts) and 10,900 (with 16.46lakh contracts). Maximum Put open interest of 37.77 lakh contracts was seen at the 10,000 strike price, followed by 10200 strike price (with 32.23lakh contracts) and 10500 (with 31.25 lakh contracts). Hence, 10,000 levels could act as major support for the Nifty while resistance could be 11000 this week. Initially the nifty range is expected to be 10500 to 11000. NIFTY PE-26.31. VIX is at 19.125, if it sustains above 20, it would be indicating possibility of downside again. VIX if moved below 17 there may be intense bull rally. Presently market is expected to trade in a wide range with high volatility. PCR is now at 1.73, come up from 1.49. Above 1.70 it is in over bought zone and indicates possibility of profit booking. PCR indicates market has less rooms for upside on immediate basis. The crucial Monetary Policy Committee's three-day meeting will start on December 3 and the decision will be announced during market hours on December 5. Chinese President Xi Jinping and US President Donald Trump put their bilateral trade war on pause momentarily, striking an agreement to hold off on slapping additional tariffs on each other's goods after January 1, as talks continue between both countries. Russia and Saudi Arabia have agreed to extend production cuts into 2019, although both countries have yet to agree on any fresh output cuts. Russian President Vladimir Putin announced the extension after a meeting on December 1 on the sidelines of the G20 meet with Saudi Arabian Crown Prince Mohammed bin Salman. The rupee gained past 70 against the dollar for the first time since August, led by a sharp fall in oil prices, which resulted in easing of fiscal concerns and trade war tensions. From the lows of 74.49 per dollar touched in October, it has appreciated 6.6 percent to 69.58 a dollar. Auto stocks will be in focus on December 3 as they react to their November sales data announced on December 1. Sales came in mixed as Maruti Suzuki, the country's largest car maker, reported a 0.7 percent year-on-year decline in sales to 1.53 lakh units on lower exports and muted domestic growth. Mahindra & Mahindra's total sales increased 17 percent YoY to 45,101 units in November due to the commercial vehicle segment that reported a whopping 26 percent growth, but passenger vehicle sales growth was just 1 percent. Escorts continued to deliver strong sales as it sold 8,005 units in November, up 56.4 percent YoY. On the domestic front, the major event to watch out for would be the exit poll results of the recently held state elections that will be announced immediately after voting in Rajasthan and Telangana ends on December 7. Polling, so far, has taken place in three states: Mizoram, Chhattisgarh and Madhya Pradesh. USDINR (69.770) is trading in over sold region but the weakness in the currency indicates it is tending to test 200 SMA around 69. Immediate resistance is at 70.10. Initial range of USDINR might be 69 to 70.10. Above this range it may come across a breakout but the next resistance at 70.15 should be kept in view while the major resistance might be 71.50 which is 100 SMA and 50SMA at 72.70. Inability to hold 69 supports might cause more weakness towards 68.20 traders should watch 69 levels closely 1
Nifty Weekly Outlook Outlook: Nifty is expected to trade initially in the range 10700 to 11100 in the coming week. Resistance 11200 Support 10500 Nifty (10876) closed on a strong note on weekly chart. Now 200 SMA and 50 Weeks moving average would act as a support around 10700-10740. Immediate resistance at 100 SMA around 10960 suggests the weekly range initially would be 10800 to 10960. Sustaining above10960 would indicate further up move towards 61.8%retracement of the fall around 11100. Support at 10650 would act as a trend decider while resistance at 11100-11200 may also act as a trend decider for further up move. The index is expected to trade in a range with positive bias while it is about to move in over bought region hence traders should remain cautious at resistance zone. Doji candle in daily chart indicate indecisiveness at over bought zone and likely to face some profit booking at higher levels. Nifty Chart (Weekly):10877 High 10922 Low 10490 Resistance Levels - R1 10960 - R2 11000 - R3 11200 -R4 11500 Support Levels - S1 10800 - S2 10740 - S3 10630 -S4 10500 NIFTY - BANK Outlook Nifty bank (26963) has been closed on a very strong note on weekly chart. It has built a support @ 26300-26400 and expected to trade with positive bias. Immediate resistance at 27210 may bound the index in a range for some time. Above this level resistance seems at 27550. Weekly chart indicates enough rooms for upside while daily chart is showing slightly over bought zone. 100 SMA around 26500 would act as a good support. Trend decider support is at 200 SMA and 50 weeks moving average at 26000. Immediate support may bind the index in the range 26700 to 26210 initially. Oscillators suggests positive bias but slightly over bought. 2
Bank Nifty Chart (Weekly): 26863 High 27013 Low 26025 Resistance Levels - R1 26000 - R2 26210 - R3 26500 - R4 27000 Support Levels - S1 26700 - S2 26440 - S3 26150 - S3 26000 NIFTY Midcap (17504) NIFTY Midcap- Midcap index is trading in a range 17200 to 17700 for the last 17-18 sessions. 50Sma is at 17224. Oscillators are mixed but seem positive bias. The breakout above the given range would surge the index towards 18100-18200. Below the given range it may move towards 17000 and 16630 as per Fibonacci levels. Weekly chart also suggests consolidation for the last four weeks and a breakout above 17710is expected to insert good rally, traders should stay cautious only of 17200 is breached decisively. 3
STOCK Picks YESBANK (269.80) Yesbank has made an morning star type bullish reversal pattern in daily chart and RSI has a positive divergence. Buy at declines with sl closing below 145 and Target 190-200. Wockpharma (542) Wockpharma has a bullish consolidation breakout in daily chart. Neckline is around 528 while support at 505-508 is trend deciding. Target might be 586 and 616. 4
L&TFH (144.20) L&TFH has a breakout on weekly chartafter three weeks comsolidation. Support seems at 137-138 while 130would act as trend decider. The upside potential seems to be 157-162. Disclaimer Source: Sumpoorna Research, NSE, BSE, SEBI, and other publically available documents. Document prepared by: Nitesh Aggarwala & Sunil Koul For further information, please contact: Sumpoorna Global Markets & Economics Research Phone: +91 120 4505200 email: globalresearch@sumpoorna.com url: www.sumpoornaonline.com This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should make such investigations as they deem necessary to arrive at an independent evaluation of an investment in the security/ instrument referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and risks of such an investment. This document is being supplied to you solely for your information, and its contents, information or data may not be reproduced, redistributed or passed on, directly or indirectly. Sumpoorna Portfolio Limited, its affiliates, directors, its proprietary trading and investment businesses (collectively referred to as Sumpoorna ) may, from time to time, make investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this document are those of the analyst, and the company may or may not subscribe to all the views expressed within. Reports based on technical and derivative analysis center on studying charts of a investment vehicle's price movement, outstanding positions and trading volume, as opposed to focusing on a instrument's fundamentals and, as such, may not match with a report on a company's/ investment vehicles fundamentals. The information in this document has been printed on the basis of publicly available information, internal data and other reliable sources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this document is for general guidance only. Sumpoorna or any of its affiliates/ group companies shall not be in any way responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report. Sumpoorna has not independently verified all the information contained within this document. Accordingly, we cannot testify, nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document. While Sumpoorna endeavours to update on a reasonable basis the information discussed in this material, there may be regulatory, compliance, or other reasons that prevent us from doing so. Neither Sumpoorna, its directors, employees nor its affiliates shall be liable for any loss or damage that may arise from or in connection with the use of this information. Note: Please contact Sumpoorna for more information on investment decisions. Also, please refer to the latest update on respective investment instruments for the disclosure status in respect of those particular investment instruments. Sumpoorna and its affiliates and clients may have investment positions in the investment vehicles recommended in this report. 5